Business

‘Material risk’ to UK financial stability continues, Bank of England warns

'Material risk' to UK financial stability continues, Bank of England warns

The Bank of England has warned of “a material risk to UK financial stability” and “dysfunction” in part of the pension market despite its unprecedented intervention late last month.

It comes after the cost of government borrowing continued to rise yesterday.

Gilt yields, the interest rate payable on government bonds, rose on Monday, near the 5% highs of 27 September, the day before the Bank made its intervention.